🌟🌟🌟In investing, few forces are more seductive and more dangerous than FOMO - Fear Of Missing Out.  It is that anxious itch when you see others making gains and feel like you are left behind.  It whispers "Everyone else is in.  Why aren't you?" When a stock starts to soar, FOMO doesn't just knock, it kicks the door down. Take Circle $Circle Internet Corp.(CRCL)$ .  After its IPO, it skyrockets over 380%, riding a wave of stablecoin optimism, regulatory breakthroughs and media buzz.  It feels unstoppable.  Many investors bought it, not because they understood the fundamentals.  They bought because they were afraid not to.  That is not strategy.  That is FOMO in action. We have seen this before. 

Trading U.S. stocks is a psychological battlefield where even seasoned investors fall prey to market illusions. These cognitive biases lead to costly mistakes, from chasing euphoric highs to panicking at sudden lows. As of June 23, 2025, the S&P 500 has gained 1.47% year-to-date (YTD), but volatility from geopolitical tensions and Federal Reserve policy shifts highlights the need to recognize these traps. Let’s explores five common market illusions, their impact on trading decisions, and strategies to stay disciplined. Common Market Illusions 1. The Confirmation Bias Trap Investors often seek data that supports their beliefs, ignoring warning signs. In early 2025, many held Advanced Micro Devices (AMD) expecting an AI-driven rally, despite U.S. export curbs to China. AMD’s stock rose 6

Trading U.S. stocks is a wild ride—one minute you’re riding high on a winning streak, the next you’re second-guessing every move. It’s a battlefield of emotions where illusions lurk around every corner, whispering “I saw this coming” or “Just wait a bit longer.” These mental traps catch even the sharpest traders off guard. So, have you ever fallen for one? Let’s unpack some classic market illusions that might hit a little too close to home—and don’t miss the chance to spill your own “misjudgment” story in the comments! The Mind Games Traders Play These illusions aren’t just mistakes—they’re psychological quirks that twist how we see the market. Here’s a rundown of the big ones: 1. The “Hot Streak” Fallacy Ever nailed a few trades in a row and felt like you cracked the code? That’s the hot

The stock market is full of traps. Not just price drops or earnings misses — but mental illusions that trick even the smartest investors. From overconfidence to herd behavior, we often don’t realize we’re making emotional decisions until it’s too late. The question is: Have you fallen for these classic market illusions? Let’s unpack the most common psychological traps that trip up both beginners and pros. 🧠 1. “I Missed the Bottom” — The Regret Illusion You didn’t buy Nvidia at $100 or Tesla at $150, and now it feels like it’s “too late.” So you hesitate… and miss another run. Truth: The market doesn’t reward perfect timing — it rewards staying in the game. You don’t need to catch the bottom. You just need to participate when conviction is high and risks are managed. 📉 2. “It’s Dropped So

On the unpredictable path of trading U.S. stocks, even the sharpest minds lose clarity from time to time. Markets test our conviction daily, pulling us between the thrill of chasing highs and the dread of watching prices fall. We find ourselves stuck in a familiar cycle — the confident “I knew this would happen” followed by the hesitant “Maybe I’ll just wait a little longer.” Take Circle Internet Financial (CRCL), for example. Since it went public, I’ve had my doubts. I was convinced it was overvalued and stayed on the sidelines. I told myself, "There’s just not enough historical data — too much risk for my taste." But the market had other plans. CRCL surged, gaining more than 20% just today and breaking through another 52-week high. I was wrong. And honestly? That’s okay. I know my invest

Classic Market Illusions! Have You Fallen for Them? We’ve all been there. One moment you’re feeling like Warren Buffett, the next you’re staring at your portfolio wondering where it all went wrong. Trading both US stocks and our local STI isn’t just about charts - it’s a psychological battlefield where our own minds become our worst enemy. The “This Time Is Different” Trap Remember when everyone piled into tech stocks in 2021? That little voice saying “this time is different” is your first red flag. Whether chasing meme stocks on Wall Street or jumping into Singapore REITs during property booms, we convince ourselves that past patterns don’t apply to our current “sure thing.” As behavioral finance research shows, “overconfident investors overestimate the quality of their information and un

I’ve definitely fallen for a few of these trading illusions—especially the classic “AMD is about to rebound!” line. I can’t count how many times I’ve convinced myself to hold just a little longer through each bounce, thinking a breakout was right around the corner. It’s humbling how often the market teaches us patience—or punishes hope without a plan. Circle was another surprise. I was sure the rally would fade after the IPO hype, but it kept defying gravity. Watching it climb while sitting on the sidelines was a good reminder that narrative often trumps logic in the short term, especially when float is low and momentum is high. One of my biggest misreads was Tesla. I used to think it was ridiculously overpriced, but I’ve learned the hard way that valuation doesn't always matter in the fa

🌟🌟🌟In 2020 Top Glove $Top Glove(BVA.SI)$ looked like a winning stock.  The world was in the grip of Covid19, the demand for rubber gloves was exploding and Top Glove's profits were soaring. So I jumped on, not because I had done deep analysis.  Not because I understood the long term risks but simply because I was afraid of being left behind. That is FOMO, the Fear of Missing Out. At first, it felt that I made the right call.  The stock kept climbing but then came the cracks.  Demand normalised, labour controversies surfaced and the market turned.  The price kept falling and falling. Looking back I realised I wasn't investing.  I was reacting.  I let the crowd excitement become my conviction.  I confused

🎢🎢 Market volatility that moves stock prices up and down is an illusion. Many investors buy and sell stocks based on expectations and FOMO. Investors should buy companies with rock solid businesses, honest management and super strong finances. For such company such as$Coca-Cola(KO)$  the company’s value goes up steadily over the years as its business grows. The bumps knocking its stock price make it looks unpredictable but it is actually just a line going upwards. So we should look beyond the illusion created by the stock market and stick to solid companies with good fundamentals. Just as Warren Buffett said, “Most people think what the stock does from day-to-day contains information, but it doesn’t.” So do not be tricked by the stock mark

Replying to @上高山:Elon Musk constantly does this , he is driving the Narrative in more ways than we know.//@上高山:A charismatic CEO speaker is needed to bring good stocks up!

4. NVIDIA being “done for” Wah, I kena played by NVDA many times already! Last year I thought I very smart, short the stock at $120 because AI bubble sure burst right? Wrong lah! Jensen comes out in his leather jacket, say some fancy words about quantum whatever, and stock fly to $145. I panic sell at a loss while eating my instant noodles for dinner that week. Now I just follow the uncle at the coffee shop - he says buy NVIDIA, I buy. Simple life.[Helpless]  3. Tesla being “too expensive” Tesla is like that expensive girlfriend who drains your wallet but you cannot break up. I’ve been saying overpriced since $200, but the stock just keeps going up like our COE prices. Every time Elon posts some random robot picture on X everyone goes crazy and buys more. My Excel says the company w

Of course… everyone has those stories… I have a collection of those for a good decades worth… and they are still happening. Something we just don’t learn, do we? [Facepalm][Spurting] Starting from dot com era of $Amazon.com(AMZN)$ is just another dot com farce… to $Microsoft(MSFT)$ can’t grow forever in the “older days”, which I eventually ended up buying 20 years after I thought about those. In the modern days, there’s the $Strategy(MSTR)$ is just a silly bitcoin cheerleader, $Coinbase Global, Inc.(COIN)$ is going to be delisted by the exchange for its fraudulent trading activity and finally, stay also at cryptocurre

This hits too close to home! 1. $Circle Internet Corp.(CRCL)$ is going to crash! I’ve been investing for 15+ years and thought I knew better. When $Circle Internet Corp.(CRCL)$ doubled on listing, I immediately thought “another overhyped IPO destined to crash.” Been burned by many IPOs that skyrocketed then plummeted. So I waited for the “inevitable” correction. Watched CRCL climb past $31, then $62 to $199, thinking “unsustainable.” The irony? I actually use Circle’s services and believed in their potential. But past disasters made me overly cautious. Finally bought at $248 thinking I was smart, only to watch it pull back. Classic case of fighting the last war instead of analysing the current situation. Sometimes experience makes you

$Circle Internet Corp.(CRCL)$Circle? I ruled it out the moment it listed. I drew a mental circle around the whole thing, called it frothy, unsustainable, just another liquidity trap dressed up as innovation. I told myself I’d seen this setup before. But the only real circle was the loop I got stuck in, disbelief, FOMO, regret, repeat. Price kept climbing. My thesis didn’t. Looking back, the unsustainable part wasn’t the chart. It was my conviction. 🟠 🅗🅐🅟🅟🅨 Ⓣⓡⓐⓓⓘⓝⓖ 🅐🅗🅔🅐🅓! 🅒🅗🅔🅔🅡🅢 🅑🅒 🍀🍀🍀🟠

Ah, the cycle of illusions—been there more times than I’d like to admit! One of my most unforgettable moments was during the 2020 pandemic-driven crash. I convinced myself, “This is the bottom, it can’t go any lower!” and went all in on a few “safe” stocks. Turns out, the market did go lower, and I was left holding positions that didn’t recover for months. The irony? When the market finally rebounded, I sold too early, thinking, “This rally can’t last!” Lesson learned: timing the market is a fool’s game. These days, I focus on fundamentals and stick to my strategy—less stress, better outcomes.

U could call it an illusion like Tesla is too expensive [OMG]... but the trusty 📈 Chart said 🤔🧐... looks like an opportunity is lay waiting [Chuckle] [Chuckle] [Chuckle]. Well, follow the Chart 📈 & Not illusion 😉. I'm still Holding on to Tsla [Miser] [Miser] [Miser] $Tesla Motors(TSLA)$ @Shernice軒嬣 2000 @Barcode @JC888 @Jes86188 @yourcelesttyy